Rapid7 (NASDAQ:RPD) Lowered to Hold Rating by Zacks Research

Rapid7 (NASDAQ:RPD) was downgraded by stock analysts at Zacks Research from a “strong-buy” rating to a “hold” rating in a report released on Tuesday,Zacks.com reports.

A number of other analysts have also weighed in on RPD. Wall Street Zen lowered Rapid7 from a “buy” rating to a “hold” rating in a research note on Sunday, January 11th. Berenberg Bank initiated coverage on shares of Rapid7 in a research report on Tuesday, November 18th. They issued a “hold” rating and a $16.00 price objective for the company. Morgan Stanley reaffirmed an “outperform” rating and set a $18.00 target price on shares of Rapid7 in a research report on Thursday, December 18th. Scotiabank lowered their price target on Rapid7 from $20.00 to $18.00 and set a “sector perform” rating for the company in a report on Wednesday, November 5th. Finally, DA Davidson dropped their target price on shares of Rapid7 from $16.00 to $14.00 and set an “underperform” rating on the stock in a report on Wednesday, November 5th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, fourteen have given a Hold rating and three have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Rapid7 has an average rating of “Hold” and an average target price of $19.79.

Rapid7 Price Performance

Rapid7 stock opened at $12.53 on Tuesday. Rapid7 has a 12-month low of $12.25 and a 12-month high of $39.62. The company has a current ratio of 1.19, a quick ratio of 1.19 and a debt-to-equity ratio of 7.01. The firm has a 50-day moving average price of $14.71 and a 200-day moving average price of $17.71. The firm has a market capitalization of $820.46 million, a PE ratio of 36.85 and a beta of 0.79.

Rapid7 (NASDAQ:RPD) last posted its quarterly earnings data on Tuesday, November 4th. The technology company reported $0.57 earnings per share for the quarter, topping analysts’ consensus estimates of $0.45 by $0.12. The company had revenue of $217.96 million for the quarter, compared to analyst estimates of $216.14 million. Rapid7 had a net margin of 2.61% and a return on equity of 67.30%. The firm’s revenue for the quarter was up 1.5% on a year-over-year basis. During the same period in the prior year, the company posted $0.66 EPS. Rapid7 has set its FY 2025 guidance at 2.020-2.090 EPS and its Q4 2025 guidance at 0.370-0.44 EPS. As a group, equities research analysts forecast that Rapid7 will post 0.35 EPS for the current year.

Insider Buying and Selling at Rapid7

In related news, Director Mike Burns purchased 2,000 shares of the business’s stock in a transaction on Thursday, November 20th. The shares were bought at an average cost of $13.80 per share, with a total value of $27,600.00. Following the transaction, the director owned 5,000 shares of the company’s stock, valued at approximately $69,000. This trade represents a 66.67% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Corey E. Thomas purchased 14,500 shares of the firm’s stock in a transaction on Monday, November 24th. The stock was bought at an average cost of $13.82 per share, with a total value of $200,390.00. Following the completion of the acquisition, the chief executive officer directly owned 595,066 shares of the company’s stock, valued at $8,223,812.12. This trade represents a 2.50% increase in their position. The SEC filing for this purchase provides additional information. Insiders have acquired a total of 67,345 shares of company stock worth $1,025,202 in the last three months. 2.40% of the stock is owned by company insiders.

Hedge Funds Weigh In On Rapid7

Several institutional investors have recently made changes to their positions in RPD. Vanguard Group Inc. boosted its holdings in Rapid7 by 7.4% during the third quarter. Vanguard Group Inc. now owns 8,620,265 shares of the technology company’s stock worth $161,630,000 after buying an additional 595,916 shares in the last quarter. JANA Partners Management LP boosted its stake in shares of Rapid7 by 13.5% during the 3rd quarter. JANA Partners Management LP now owns 6,502,108 shares of the technology company’s stock worth $121,915,000 after acquiring an additional 772,194 shares in the last quarter. Penserra Capital Management LLC boosted its stake in shares of Rapid7 by 45.3% during the 2nd quarter. Penserra Capital Management LLC now owns 2,731,192 shares of the technology company’s stock worth $63,172,000 after acquiring an additional 851,108 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of Rapid7 by 1.6% during the 3rd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,170,876 shares of the technology company’s stock valued at $40,716,000 after acquiring an additional 34,438 shares during the period. Finally, First Trust Advisors LP increased its stake in shares of Rapid7 by 1.6% in the 3rd quarter. First Trust Advisors LP now owns 1,568,047 shares of the technology company’s stock valued at $29,401,000 after purchasing an additional 24,277 shares in the last quarter. 95.66% of the stock is owned by hedge funds and other institutional investors.

Rapid7 Company Profile

Rapid7, Inc is a publicly traded cybersecurity company headquartered in Boston, Massachusetts. Since its founding in 2000, the company has specialized in delivering cloud-based security data and analytics solutions designed to help organizations detect, investigate, and remediate cyber threats. Rapid7 operates under the NASDAQ symbol “RPD” and serves a broad range of industries, including technology, financial services, healthcare, retail, and the public sector.

The core of Rapid7’s offering is its Insight platform, a unified, cloud-native security operations and analytics suite.